The stock market had a small run this week, but not enough to make back the money I lost in my huge Nov 07 call positions. I tell you the most annoying thing that can happen to you is when your co-worker rubs your lost in your face. My reaction like any other trader is to want to beat his ass and prove him wrong, but I have to admit he’s totally right. I did lose some big bucks, I told him, and now he’s rubbing it in my face. I suppose I deserve it in a little way just to have this 3rd party in retrospect show me “you are trading crappy and until you prove me wrong I can joke and not believe you” and I probably shouldn’t of told him. Recently my co-worker has been trading real money. He has already told me he has lost -$3500 real money. Of course he is blaming the brokerage website, the stock (BIDU in this case), and everything else except his own trading actions. I think the only real bright future I have going for me is that I can handle the loss and can take responsibility for my own actions. I lost the money because I waited waited waited just to see it vanish when I could of took a big loss, but still had money left over. I also noticed he has been depositing more money into his account after he loses. This is another thing he doesn’t understand about me. I have not deposited money into my account. I use what I’ve got or else you lose more. His wife does not know about this, I’m sure. He is newly married and even though I shared options investing with him I’m not going to take the blame for any of his future dumb actions. He will not practice trade, he doesn’t read up about market history, and he doesn’t listen. He’s very scholarly, but as he will find out it’s not about being smart it’s about trading with as much information to make the probability in your favor to be right and not just trading off “feelings” or acting cocky.
Speaking of “feelings” I have to say I’ve been overwhelmed with them recently. It is almost as my dreams have be yanked away from me. Paying off that $35,000 note would of been huge for me not having that payment making owning that trailer park much easier. So bad decisions create dead dreams, not to say it won’t be a success, but it would have been a better success paying it off and not trading the markets as I did.
As for real estate I’m suppose to be selling my 2bed/1bath home in Hampton, VA for $105,000 down from $119,900 to an investor who says he will pay cash (equity). This will be good so I can finally close on my second mobile home park. Hopefully, God, yes that great universal truth will be at my side on my next deal. I will be putting around $40k down from my home sale.
Oh yes, the stock market. I bought AAPL DEC 125 PUTS @ $1.17 today. I only had less than $1200 left in my account so it cost me just under that for around 10 contracts or a $1000 trade. This is my last money. In Pring’s Technical Analysis for Charting book it shows 3 trends from the years 1987 to 1989. The charts currently for November 2007 match exactly with this historical charts. Even some of the same things were happening like inflation, slowing growth, and selling less and less (such as homes in our case/construction). If this proves correct we just started to fall from the second bearish top meaning it will fall much more. Then supposedly it will have a run Dec 07 into Jan 08. In jan 08′ it will start to fall through 09′ a fall much steeper and longer then what has currently been taking place. If charts stick then I will be watching for short Call plays and longer Put plays. This AAPL Put option should only last until mid-DEC 07′ if charts pull through with all the negative news. Apple is a great company, but many great companies fall with the markets. It is when everything settles the best companies have unimaginable runs such is what happened in 2003 on after the big fall of 01′.
well later -fn
November 16, 2007 | Categories: 2007 market crash, 2007 option picks, 2007 stock picks, aapl, AAPL Analyst, aapl calls, AAPL stock report, bad trading, buying a trailor park, dow crash, falling dollar, november market crash, Real Estate Blogs, real estate investor blog, rising oil prices, rv park landlord, stock forecast | Tags: 2007 stock market crash, 2008 stock market prediction, aapl, aapl dec put options, buying a mobile home park, buying put options, mobile home park investor, pring's technical analysis, rv park landlord, what are put options? | Leave a comment
Surprisingly the market fell hard today steadily throughout the day. With the market going against the sell off on Thursday I figured it would continually go up throughout the weekend, but this was not the case. Google (GOOG @ 620) fell with major search engine Bidu (BIDU @ 334). I see good buying opportunities with a possible pop tomorrow since at the end of the day there was a quick late buying interest. If you saw Apple Inc. it spiked straight up the last 30 minutes with “3 white soldiers”. I’m playing a small position in AAPL OCT 07 170 Calls @ 2.06 and I have my GTC order at $2.60 which would make me a 25% ROI if I’m sold out tomorrow morning. If AAPL doesn’t move I’m going to sell myself out of the position.
This week will hold Google earnings. The king of Tech in my opinionGOOG is the stock to be watching because its growth has been huge each year. For the past two years GOOG jumped 30 points during Oct earnings release. I plan to trade only a $500 trade right before close of the earnings annoucement on Oct 18th.
As for dating life. I think this new girl I’m interested in works more then I do and that is a problem. It is great to see such a productive person, but I don’t know when we would ever have time to see each other.
My roommates plan on adding an additional 4th person to our 1 bedroom apartment. Yes, you heard me right. Four people in this tiny 1 bedroom. Currently I’m the only one working. They are getting annoying playing video games and drinking 40’s. I do not know how much longer I will last, but since I’m leaving on patrol again for a few months I can deal plus rent will only be 200-300/month or I could just move all my shit out again which is what I’m thinking I just might do instead and pay $125 in storage fees.
Last thing taking 3 classes, doing stock stuff, trying to meet ladies, living with 2 other guys cramped in a small apartment, and on top of that finding free time has started to add up. Did I also mention trying to buy this second park while my first one is about to become what I can an “end” investment. If I’m unable to rent this place I will take it as a lost and practically give it way because I’m not going to let it turn into a negative cashflow business which it currently is. I’m not giving up on it yet, but I told the property manager if we can get it fully rented by Dec 07 then I’m going to have to shut the entire park down and put it up for sale. I have a feeling this week is going to be a very tiresome week. Big money comes with big stress when theres no one to help you relax…
October 16, 2007 | Categories: aapl, AAPL Analyst, AAPL stock report, Apple Inc., asking a girl out, bidu, buy AAPL, buying a trailor park, dating for nerds, dumb tenants, getting noticed, goog, google blog, HPU, HPU business blog, ROI, rv park landlord, Stock Review Blog, trailor park real estate | Leave a comment
My new manager for my mobile home park #1 has been a life saver. He is on his game, at least seems honest, and will not put up with bad tenants. If we can get the park fully rented again I will at least break even in the mean time until I can buy more trailers to fill the empty lots available to rent. I am in another deal to buy an 18 lot park, with 18 park owned trailers, all fully rented, for $190k. You might ask why am I buying another park if my first park has gone to shit and I’m not profiting yet? Well I’m pretty ambitious so I don’t let one park bring me down. It will work. I believe in it, the people helping me, and fixing it up to rent fully. So far I have bought a park that is known as the worst/drug heavy spot outside of town. How’s that to know you are a park owner of scum? Hmm…I guess it could be worst. I was once a young man that would run away from this type of situation, now I’m going to go head on and fix it so I will suceed. If I want to be powerful and successful I need to learn how to fix problems. This is definitely a problem and with a $80k mortgage I definitely need to fix it. I will blog more as more trailers are rented out with more progress.
As for stocks. I steadily keep losing my money. It is simply amazing how well I can lose money. I’m not saying I’ve always lost money, but recently since August 2007 I’ve made some big loss trades. I should be making BIG gains, but for some reason I’m not making the right decisions. Granted, I don’t have time to watch the market all day, buy and sell when I want, but I had plenty of opportunities to make a profit and get out without losing the bulk of my money. Now that my down payment I was using to create more money for a deal is down I’m going to have to work and think triple hard to bring my trading money up to where it was before basically $40,000. Currently at $3000 (minus the $6000 that really doesn’t count because its my down payment, well was $10000 I should say).
I admit my ambitious move to put $10k into a trade to earn $20k probably wasn’t the smartest move, but a 50% chance is pretty good I think. Now that the $10k is $6k I’ll have to work it extra hard. I’m already -$8k down for the entire year. Not one withdrawed profit yet. My $40k profit should of been taken out immediately to put into real estate. Dumb me. Well I guess I learn repeatedly the hard way as usual. If I was married and she know would it make it any different? Would she convience my thoughts otherwise not to re-trade the big profit? Probably.
I plan on trading SHLD in the retail season. SHLD has broken its major downtrend and a lot of positive buzz has been on the stock from a billionaire buying up 5% of the stock just recently.
Currently at $151 and a high of $170s I think or should I say by the facts and charts right now seems like a great time to get in. AAPL @161 just moved up finally of course (taking forever).
AAPL might be the better stock going to $200? Whatever I trade it has to move up or I need to sell my options. The time value of Calls slow the price movement up if the stock stays flat and falls. This I have learned. The recent non-farm payroll report boosted stocks HIGH. I should of NOT bought Put options knowing that there was a “rumor” that the payroll report was going to be higher then expected which is bullish. Again, dumb me. Hard learning.
As for the ladies. I took one charming lady interested in the finance field out to lunch. Haven’t heard back from her – going to send her some small flowers. Will this get me any attention? noticeable? probably unlikely, but it is worth the try.
October 8, 2007 | Categories: 2007 option picks, 2007 stock picks, aapl, AAPL Analyst, AAPL stock report, Apple Inc. (AAPL) fan, bad trading, buy AAPL, buying a trailor park, dating for business nerds, dating for dorks, dating for nerds, getting noticed, horrible stock trader, HPU business blog, non-farm payroll report, real estate investor blog, rv park landlord, SHLD blog, SHLD stock alert | Leave a comment
After HOKU earnings the stock plummeted to $8 and I totally expected it to fall. Everyone knew they weren’t going to show a profit and it is still very much a speculation stock because it hasn’t been able to start production yet. I’m with Jim Crammer about people rebuying it at a lower price and it moves up again throughout the year on its speculation of being the #1 for alternative energy. Our world is moving in that direction so I could only expect growth. As for AAPL it’s iPhone has been a success, but the market is turning over and its stock is finally starting to become submissive to all the selling. I’d buy AAPL later, but I see it moving much further down into the possible $110’s before it moves into the $200’s. If AAPL is able to continue momentum then I’d buy Calls on it if it moves past $150. Then it will be fighting the selling, but investors are true believers in it. It’s PEG score also has moved down to around 1.66 from over 2.00. So its value has gone up as well with its super profitable earnings. SWN’s charts have been showing a flip to oil/gas companies. Its major trend on the Daily and Weekly are going down with all smaller charts. Just yesterday it bumped up because it was slammed down into the Bollinger bands. I expect it to keep moving further down in the lower $30’s. I’m playing SEP 07 35 Puts on it currently up around 10%. I plan to sell out once it hits around $35 if I’m correct. NYX is always a confusing stock. You’d think this stock would be doing what ICE is doing, but it isn’t. I’m in Calls and I think I’m going to lose my entire $7,000 investment if by Sept. it doesn’t move higher than $87. At its current price of around $74 I’m left dumbfounded and believing in the stock that makes me seem living life a bit bicariously. NYX has had almost 4 major falls with small peaks. This stock has to pop high if on Aug 2nd earnings are awesome and profits are up. It should pop past $90 because there hasn’t been much news on it. So if it surprises investors and analysis it could finally get back in the game and be a more volatile stock like it use to be. If you are currently playing Puts on it you are probably a lot more correct and wise thinking then myself.
As for the good old trailor park I bought. I’ve been working with my property manager. I’ve been trying to get the cable tv hooked back up because it was disconnected before I could transfer it into my name. Two of the tenants are refusing to pay their rent because they are not receiving cable tv. Can you believe this? I’ve never heard of such a moron of a tenant in my life! I told him to turn off their electricity and gas that day until they paid their rent or enforce them to be evicted that week. I’m not going to tollerate this type of behavior. Business is business and you pay your rent regardless if you get cable tv or not. I pay for their housing and all utilities. Cable tv is a luxury. I only see future problems with very low income low education tenants like this in the future. I’m trying to move all the tenants in and rent the trailors properly with full leases, applications, and deposits so I don’t get shitted on. If I’m going to make this profitable I need to take the steps to make it profitable and not deal with unacceptable tenants.
July 29, 2007 | Categories: 2007 option picks, 2007 stock picks, aapl, apple computer blog, buying a trailor park, dumb tenants, evicting tenants, HOKU, Hoku Scientific, how to get rid of tenants, HPU business blog, jim cramer, jim crammer, landlord website, moron tenants, NYX, property management help, Real Estate Blogs, real estate investor blog, rich dad poor dad, ROI, rv park landlord, speculative stocks, swn, trading stock options, trailor park landlord, trailor park real estate, white trash tenants | 2 Comments
Last night was another crazy one. Lately I’ve been hangin with a cool lad lets call him Eric and we go out to the bars a lot for our social entertainment. I met a woman, a much older older woman I think 8 years older to be exact, and I met her once before at another bar. She seems pretty cool and I’m hoping she’d like to go out to dinner with me this weekend. She’s a bit everything I like in a woman, but she smokes so I don’t think it could work out realistically having so many problems with a previous girlfriend that smoked. I had a good time with her and I know she enjoyed my wacky dancing style that wooed the entire crowd.
Here’s a weird fact about hawaii: They do fireworks on the 3rd of July.
Also I’ve noticed at age 26 that I’m starting to feel like a 40 year old after heavy binge drinking at bars only to have to wake up hours earlier for work. I’d definitely call myself an alcholic at a bar. I drink extremely too fast and I’m out of control probably because its accepted with other people drinking. I become a dancing machine, which most people probably think I’m some type of speed drug, but believe me it is all natural.
My trailor park I bought has been coming a long. I finally got a bank account setup with Suntrust and hope to collect enough to pay my mortgage this month. I need to be creative with this business to make it ultra successful. Since Tennessee is a low rental cashflow type state then I’m thinking I could possibly sell trailors backed by promissary notes to receive a more residual stable income then a higher turnover with weekly rentals. If I could sell “home ownership” to the same tenants that receive low incomes which they pay their own utilties since I have meters ready which would save me more money and only charge them rent for leasing the land that the trailor is on for a very reasonable rate of like $100 – 200 /month.
This way they own something, could use the interest off the loan to get more taxes back, feel like they own it instead of renting, and pay me bi-weekly or monthly instead of choosing to move out. If I could sell each trailor for $10,000 for 15 years at $200/month they would be paying almost $100 less a month then they currently are which would be insentive to buy it. I’d still collect it like rent, but now my mortgage notes are backed by a contract so if they ever forclosed and didn’t pay I’d get the trailor back (since I’m the bank) and I could resell it again.
This property has the potential of a $4000 gross income and possibly $3000 net if I didn’t have to pay utilties. By reducing my cashflow a little I could create longer term tenants and sell the trailors for almost 5-10 times what they are worth creating more value in the property if I resold it a couple years later with a large cashflow back by notes cashflow.
This is all one big idea, but I think it could work if the tenants are interested. I’ve been checking out other properties, but I’m thinking it’s probably just to focus on this one and make it generate cash well now then buy others. My goal is to fill the other 4 units and just rent the land instead of renting trailors. 10 trailors = $100,000 or $2000/month income + 10 unit land leases would be $2000/month ($200 each). If I rent weekly my cashflow is higher, but I have more turnover months and less proof selling the park, but with a stable rent history I could possible sell the land, promissary notes, and business for $300,000. With no money down a buyer would still generate a $1000/month cashflow which is still really awesome or 33% ROI a month.
Do you own a trailor/RV park? What do you do to increase income?
As for the stock market. SWN still shows going down a trendline, AAPL is still on its uptrend, and HOKU is wishy-washy. NTRI still looks like a bargain at $71. It is at its low for price target making big earnings. cha-ching.
July 4, 2007 | Categories: buying a trailor park, promissary notes, real estate investor blog, rv park landlord, selling a trailor park, trailor park landlord, trailor park real estate, trailor promissary notes | Leave a comment